European Bourses Rally Amid Ongoing Concerns Over New COVID-19 Variant

European stocks rebounded on Wednesday even as investors continued to be worried about the new and highly infectious omicron variant of COVID-19, and as new economic data were released for the month of November.

Germany's DAX rose 2.5%, France's CAC 40 climbed 2.4%, and Stoxx Europe was up 1.7%. The FTSE 100 in the UK ended up 1.6% while the Swiss Market Index rose 0.9%.

On the economic data front, the euro area's final manufacturing purchasing managers' index climbed to 58.4 in November from 58.3 in October, stopping a four-month slowdown despite persistent supply chain constraints, IHS Markit said. The latest figure fell below the flash estimate of 58.6.

Germany's final manufacturing PMI tumbled to a 10-month low of 57.4 in November from 57.8 in October amid input shortages, IHS Markit said. The latest reading missed the flash estimate of 57.6.

Meanwhile, Britain's final manufacturing PMI reached its three-month high of 58.1 in November, up from 57.8 in October, IHS Markit said. The latest reading narrowly missed the flash estimate of 58.2. IHS Markit said the increase reflects higher output as domestic order intakes rise amid severely stretched supply chains.

In corporate news, Blue Prism Group (PRSM.L) was up nearly 3% after it agreed to the terms of a takeover offer by SS&C Technologies valuing the company at about 1.24 billion pounds ($1.65 billion) on a fully diluted basis. The 12.75 pounds per share offer is higher than the previously announced competing offer from Vista Equity Partners' Vista Funds of 12.50 pounds per share.